SOMERSET — The Special Town Meeting voted unanimously to take $2 million from the stabilization fund to help defray the anticipated additional costs due to the reduction of the value of the town's two power plants.

The meeting, held Monday night at Somerset-Berkley Regional High School, amended the allocation made during the annual Town Meeting in May, with a 156-0 vote Monday night.

The vote amends the May allocation by reducing the amount taken from taxation from $21,133,970 to $19,133,970 and increases the amount taken from the stabilization fund from $600,000 to $2.6 million.

Selectman Chairman Patrick O'Neil noted that the effort was being made to reduce the impact of the decrease in the value of the two power plants that would have been picked up by the taxpayers of the town. Chairman O'Neil noted that with the Monday vote, the Board of Selectmen will be able to agree to a tax rate tonight (Wednesday, Dec. 12) that would be sent on to the Department of Revenue for approval.

"We have 75 options depending on the shift," said chairman O'Neil, referring to the decision on what the rate commerical properties would pay along with the residential.

Selectman Donald Setters, who also is a member of the Board of Assessors, pointed out that the proposed shift of 1.66 would result in an increase from $12.69 per $1,000 of valuation to $14,88 for homeowners or roughly $445.66 per household.

The commerical rate would go form $24.22 per thousand to $31.22 per thousand increasing taxes by $1,071 for the average business. He added that the commerial tax rate would be the highest in the area.

Selectman Setters noted that the 1.66 shift was being considered because it was the most even for commercial and residential. Residential taxes would go up 15.98 percent and commercial up 16.10 percent.

He added that if the amounts go too high, the town would lose out in the long run because business would not come to town.

Businessman Scott Smith agreed, noting that a study of classifications done by the Massachusetts Institute of Technology, found that in communities where business was paying higher rates, they were losing those businesses.

There was some concern about taking that much money form the stabilization fund to pay for what may be an ongoing shortfall. Some felt that the spending side should be addressed as much as the revenue.

It was pointed out that the certified free cash, which is usually over $1 million in town, would be used to go back to the stabilization fund that has roughly $8.6 million in it now. Chairman O'Neil noted that the hope would be to see the power plants come back in value in coming years. It was noted that the power plant was losing $40 million a year.

There was some talk about taking more from the stabilization fund in order to further impact the potential increase in taxes. However, Chairman O'Neil pointed out that all of those who looked at the issue, including the Town Administrator Dennis Luttrell, and the Advisory and Finance Board, assessors and selectmen all felt that the $2 million was enough and that the stabilization fund should be protected.